What is the Tax Gap?

An economic means of environmental management that implements different tax rates on products with different environmental impacts. High tax rates are applied to heavily polluting products, while tax concessions or exemptions are granted to lightly or non-polluting products to encourage and guide the use of environmentally friendly products. Such as the implementation of differential tax rates for leaded and unleaded gasoline to encourage the consumption of unleaded gasoline, the implementation of preferential tax rates for vehicles with exhaust purification devices to support their sales, and the reduction of environmental protection facilities investment in fixed assets investment direction adjustment tax.